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Inner Game

Taking Your Lumps (And Learning From Them)

hitLearn How to Take the Blows

Hey, JP here and today I’m inviting you to bite into a slice of conversation I had recently with our Mogul Faculty member Frank Cava. We were talking about growing with your business, and Frank aptly pointed out that it’s impossible to even think about growing your business without recognizing that you will need to endure a few solid blows to the chin now and again along the way.

In fact, that’s exactly where the term taking your lumps comes from – the world of prize fighting. For the sake of the championship, that fighter is willing to step into the ring and take the lumps (all those swellings that cover his body after the fight). After gaining experience from several fights, along with great training, eventually he’ll learn that some of those lumps can be avoided. He learns how to move, how to dodge, how to duck, how to be quick on his feet. (You’re thinking of Rocky, right? Me too :-)

In the excitement of the possibility of making deals, oftentimes newer investors blow through their business at lightning speed, throwing caution to the wind. There comes another knockout blow!

Frank Cava Knows about the Lumps

We’ve heard from Frank a number of times before here at Mogul – he’s shared some truly invaluable lessons with us from his rich experiences of closing more than $1 billion in real estate transactions (200+ deals – wow!) and then he even let us give him the unrelenting third degree treatment for over an hour in a full-blown training call.

The guys’ a player, a giver and a champion lumps-taker – definitely someone worth listening to when it comes to building a strong, profitable real estate investing empire.

So in this video Frank shares some graphic, detailed accounts of different challenges he’s faced in the early years of building his business. “Listen,” he advises, “to the wise words of Benjamin Franklin…”

An ounce of prevention is worth a pound of cure.

Let’s tune in and see where Frank’s coming from…

Incorporate the Prevention

It’s easy enough to talk about prevention, but how does it walk out? Here are a few ideas:

  • When looking at a deal, ask the question, what all could possibly go wrong with this deal?
  • Run it past an attorney to double check all the legalities.
  • Learn to solve the problems before they arise.

Learn From Your Mistakes

In spite of all you do to prevent making blunders, they still happen. Then what? Frank’s advice is to learn all you can from each deal that happens to go south. It’s not enough to just take the lumps – it’s equally as important to learn from them. (Where’s the glory in taking a blow the same way twice in a row?)

Know that there will be challenges, obstacles, and setback no matter what you do. Getting in the ring means you understand this up front. And when land on your keister (and you will) top and check out exactly how it happened:

  • What was the mistake? (Pin it down.)
  • At what point did the deal begin to fall apart?
  • What could have been done to prevent it?
  • What can you learn from the experience?
  • Does it call for a change in direction?


Do It To It! Immediate Action Steps

Expect to Make Mistakes – Have the mindset that it’s impossible to be in this business and not make a few mistakes along the way. Accept that as reality.

Ask the Right Questions – Go into every deal by asking “What could possibly go wrong here?”

Seek Advice from an Attorney – Run iffy deals by an attorney for extra added precaution.

Don’t Get Stuck in a Rut – Be flexible enough to change direction if the situation calls for it.

Assess Each Mistake Thoroughly – Work smart by learning from the mistakes that are made.

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